Exploring the Future: Hydrogen's Role in Developing Country Transport
Key Ideas
  • Hydrogen fuel cell electric vehicles (FCEVs) offer advantages over battery electric vehicles (BEVs) in certain contexts like rugged terrains and high-utilization vehicle fleets.
  • The economics of hydrogen remain challenging due to high production costs, but societal benefits like reduced air pollution and long-term climate resilience make it a valuable option.
  • Countries like India and South Korea are implementing ambitious green hydrogen strategies to reduce fossil fuel imports, strengthen competitiveness, and lower emissions.
  • Market segmentation is crucial for hydrogen's success in transport, with potential for heavy-duty vehicles, buses, and specialized applications where battery technology falls short.
The World Bank's latest report, 'Clean Hydrogen for Road Transport in Developing Countries,' explores the potential of hydrogen fuel cell electric vehicles (FCEVs) in countries like Brazil, Chile, India, South Africa, and the Republic of Korea. While battery electric vehicles (BEVs) have seen global growth, FCEVs offer advantages in areas with uneven electricity access and rugged terrains. The report highlights that despite the technical promise of hydrogen, its economics remain challenging, with green hydrogen production still costly. However, societal benefits and environmental concerns may drive countries like India and South Korea to invest in FCEVs. Some nations are already taking steps, like India's National Green Hydrogen Mission and Chile's National Green Hydrogen Strategy, to incorporate hydrogen into their energy transitions. The report emphasizes that careful market segmentation is key, with hydrogen likely to excel in heavy-duty vehicles and specialized applications. Strategic infrastructure investment, like 'Green Hydrogen Corridors,' and coherent national policies are crucial for hydrogen's success in transport. The report envisions hydrogen as a complementary solution to battery electric transport, offering cleaner, healthier, and more resilient transport systems in developing countries.
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